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10 points.whats internet ads and how its payment mechanism.? - Printable Version

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10 points.whats internet ads and how its payment mechanism.? - COOL_BOY - 11-22-2012 04:58 AM

how internet ads are get paid and on what basis it is paid.i have no idea.please give a short summary about this topic.


- Jake - 11-22-2012 05:06 AM

Smaller operators using self serve advertising like Google Adwords or Yahoo-Bing ads, setup an account that is typically billed to a credit card, while large companies may place media buy "insertion orders" and pay by invoice.

Some advertising pros ecommend starting with either Google Adwords or Facebook paid ads, 2 quite different but relatively easy to use systems. Both offer first time user vouchers to help finance their first advertising experiments. Google was recently advertising the $75 voucher on this page, with luck it still may work for you.
https://services.google.com/fb/forms/adwordscoupon/

Most commonly internet ads are either paid per click (PPC) or per impression (CPM) actually paying the Cost Per 1000 impressions (M is a printers measurement) many of these ad networks charge what the market can bear, with different prices for different categories or in the case of Keyword based ad placement, an automated bid based pricing system, where each new high bid might raise the max price by a penny. I believe in the early days of Google ads most cost under a 5 cents a click, these days $0.50 to $5.00 may cover the majority of ad click costs on the Adwords system, though some exotic doctor and lawyer terms with massive potential payoffs may cost over $50 per click.

Google, always concerned with the end user experience over the ad buyer's welfare, adjust ad prices based on a quality rating, ad text that doesn't match the content of the landing page, or an ad page lacking the proper legal disclaimers can increase the cost of an ad.

There are other "2nd tier" ad systems that are less expensive, some providing 1000 ad impressions for a couple of pennies, they are also more prone to fraud perpetrated by the web site operators making up their ad network, some of the worst fraud might involve software robot visitors in the place of real prospects.